Getting your Tax ID
Before applying for business license, its important to make sure you register your business with the appropriate government entities
- If you plan to do business as a legal business entity in Illinois, regardless of if you are based in Illinois or not, you will need to register with the Illinois Secretary of State:
- Illinois based businesses may file a new application as a Limited Partnership (LP), Limited Liability Partnership (LLP), Limited Liability Corporation (LLC), Corporation, or Not-for-Profit Corporation (NFP). You will be provided a State of Illinois File Number, which you will need to provide on your license application.
- Businesses not based in Illinois are considered .foreign. and must file an application for authority to transact business in Illinois. You will be provided a State of Illinois File Number, which you will need to provide on your license application.
- Obtain a Federal Employer Identification Number (FEIN) A Federal Employer Identification Number (FEIN) is also known as a Federal Tax Identification Number, and is used to identify a legal business entity. Businesses are required to obtain a FEIN to file and pay any federal tax obligation.
- Obtain an Illinois Department of Revenue (IDOR) Account ID (formerly Illinois Business Tax Number (IBT)) . You must register with the Illinois Department of Revenue if you conduct business in Illinois or with Illinois customers. This includes sole proprietors (individual or husband/wife), and all legal business entities, including exempt organizations, who plan to hire employees, buy or sell products wholesale or retail, or manufacture goods.